Law360
February 9, 2018
"Apple, Cisco Venture Could Fuel Cyberinsurance Market Surge"

Tyler Gerking, Farella Insurance Recovery Group chair, provided some thoughts in the article on possible coverage issues policyholders should consider.  In the article, he noted that it is possible that a company that buys the new protection could face a coverage denial in the event of a data breach if it fails to consistently utilize the Cisco software and Apple products. Some other carriers' policies bar coverage if the policyholder fails to maintain specified data security measures.

"It may be that these requirements increase the risk of the insurance company being able to deny coverage," Mr. Gerking said.  He added that a coverage trapdoor could also potentially arise if a policyholder's employee is hacked on a non-Apple device while working from home.

"I could see this environment being a little more restrictive," he said. "If all employees are supposed to be on Apple IOS, and one employee is using Windows to do work at home, what happens then? I wonder how far the restrictions would extend out. Would it be easy for a company to get tripped up and inadvertently void coverage?"

Link to full article (subscription required).